JPMorgan Funds Global Healthcare Fund
JPMorgan A (dist) - USD
April 2015
Fund overview
Quarterly comments
Investment objective
Review
To achieve a return by investing primarily in
pharmaceutical, biotechnology, healthcare services,
medical technology and life sciences companies
("Healthcare Companies"), globally.
Global equity markets had a positive first quarter in 2015, with the MSCI World Index rising 5.8% in local currency terms.
Morningstar style box ®
A
(as at 31/03/15)
The fund underperformed the benchmark. Stock selection was mixed, with biotechnology contributing positively, while
medtech and pharmaceuticals detracted. Holdings in Swiss healthcare companies detracted from returns following the
unexpected news that the Swiss National Bank was abandoning its cap on the Swiss franc against the euro. Selective
holdings in healthcare insurance providers lagged amid investors' concerns over the potential for further margin
improvements. Our position in a European company developing a treatment for fatty liver disease underperformed
towards the end of the period after announcing mid
midstage clinical trial results that missed investors' expectations. A holding
in a competitor company, which is also developing a treatment in this area, performed strongly on this news.
Our holding in a European biotech company was among the stocks to contribute positively amid improved expectations
over ongoing clinical trials for a treatment across different stages of multiple myeloma. Meanwhile, our holding in a US
biotechnology company developing a treatment for multiple sclerosis performed strongly amid speculation over potential
M&A activity.
Outlook
As monetary policy continues to diverge, we can expect uneven, but accelerating, global growth, led by the US, which
appears to be further along in the economic cycle.
Benchmark D
Fund statistics
MSCI World Healthcare Index (Total Return Net)
Overall Morningstar
TM
Rating
(as at 30/04/15)
Morningstar CategoryTM
Fund manager(s)
Client portfolio
manager(s)
Fund launch date
NAV (as at 30/04/15)
12M NAV High (as at
27/04/15)
12M NAV Low (as at
09/05/14)
Fund size (as at 30/04/15)
Share class launch date B C
Performance
Sector Equity
Healthcare
Anne Marden,
Matthew Cohen
■ JPMorgan A (dist)
USD
Calendar year performance
■
Benchmark
■ JPMorgan A (dist)
USD
D
■
Benchmark
D
Frances Gerhold
02/10/09
314.92
325.99
245.30
USD 3250.2m
16/10/09
Fund codes
ISIN
Bloomberg
Reuters
(as at 30/04/15)
Cumulative performance
LU0432979457
JPHLTJF LX
LU0432979457.LUF
Fund highlights
Cumulative performance
%
JPMorgan A (dist) USD
Benchmark D
1 M
0.29
0.11
3 M
4.60
5.77
1 Y
27.14
20.43
3 Y
126.69
89.66
5 Y
203.76
134.46
10 Y

2013
61.04
36.27
2014
22.01
18.10
YTD
6.42
8.17
Calendar year performance
JPMorgan A (dist) USD
D
Benchmark
2011
12.90
9.46
2012
22.13
17.54
Annualised performance
The JPM Global Healthcare Fund provides pure exposure
to the strong growth potential of the global healthcare
industry, which is benefiting from ageing populations in
the West and increased demand from emerging markets.
The fund seeks to generate long
longterm capital growth by
diversifying its holdings across the pharmaceuticals,
biotech, medtech and healthcare service sectors, and
across geographical regions.
An experienced team of dedicated portfolio managers
and healthcare sector analysts use their insight to
manage the fund, drawing on J.P. Morgan Asset
Management
Management’’s extensive research capabilities and global
network.
%
JPMorgan A (dist) USD
Benchmark D
1 Y
27.14
20.43
3 Y
31.36
23.78
Please read the Explanatory Notes, Risks and Important Information at the end of this document.
5 Y
24.88
18.58
Since inception
23.03
17.39
JPMorgan Funds - Global Healthcare Fund
Fund facts
Investor suitability
Fund charges
Investor profile
Initial charge (max.)
Redemption charge (max.)
Annual Mgt.
Distribution Fee
Expenses
TER (Total Expense Ratio)
Statistical analysis
review
Correlation
Alpha
Beta
Annualised volatility
Sharpe ratio
Tracking error
Information ratio
5.00%
0.50%
1.50%
0.00%
0.40%
1.90%
(as at 30/04/15)
3 years
0.87
6.13
1.17
12.81
2.20
6.43
1.00
5 years
0.90
5.32
1.26
15.34
1.52
7.13
0.82
This is a specialist sector equity fund investing in Healthcare Companies, globally. Although this focused approach can result
in high relative returns when Healthcare Companies are in favour with the market, investors can suffer long periods of
underperformance when Healthcare Companies are out of favour. The fund may, therefore, be suitable for investors with at
least a five year investment horizon looking for a higher risk equity strategy to complement an existing core portfolio, or
for investors looking for exclusive exposure to Healthcare Companies.
Key risks
The value of your investment may fall as well as rise and you may get back less than you originally invested.
The value of equity securities may go down as well as up in response to the performance of individual companies and
general market conditions.
Emerging markets may be subject to increased political, regulatory and economic instability, less developed custody and
settlement practices, poor transparency and greater financial risks. Emerging market currencies may be subject to volatile
price movements. Emerging market securities may also be subject to higher volatility and lower liquidity than non
emerging market securities.
The Sub
SubFund will be concentrated in one industry sector and as a result, may be more volatile than more broadly
diversified funds.
Movements in currency exchange rates can adversely affect the return of your investment. The currency hedging that may
be used to minimise the effect of currency fluctuations may not always be successful.
Holdings
10 largest holdings
Equity holding
Novartis (Pharmaceutical)
Roche (Pharmaceutical)
Johnson & Johnson
(Pharmaceutical)
Gilead Sciences (Biotechnology)
Bayer (Pharmaceutical)
Bristol
BristolMyers Squibb
(Pharmaceutical)
Merck & Co (Pharmaceutical)
UnitedHealth (Healthcare
Services)
Valeant Pharmaceuticals
International (Pharmaceutical)
Pfizer (Pharmaceutical)
Market capitalisation
> 100 bn
10 bn <> 100 bn
1 bn <> 10 bn
< 1 bn
(as at
31/03/15)
Weight
6.3%
5.1%
4.7%
3.9%
3.9%
3.6%
3.5%
3.4%
3.4%
3.3%
(as at 30/04/15)
45.70%
33.06%
14.71%
6.54%
(as at 30/04/15)
Sector breakdown
Sector
Pharmaceutical
Biotechnology
Healthcare Services
Medtech
Cash
Total
Fund
50.7%
26.4%
11.5%
7.7%
3.7%
100.0%
Benchmark D
57.3%
16.4%
13.6%
12.7%
0.0%
100.0%
Deviation
6.6%
10.0%
2.1%
5.0%
3.7%
0.0%
Regional breakdown
Country
North America
Europe & Middle East ex UK
United Kingdom
Japan
Pacific ex
exJapan
Cash
Total
(as at 30/04/15)
Fund
63.5%
27.7%
4.3%
0.8%
0.0%
3.7%
100.0%
Please read the Explanatory Notes, Risks and Important Information at the end of this document.
D
Benchmark
66.0%
22.5%
5.9%
4.4%
1.2%
0.0%
100.0%
Deviation
2.5%
5.2%
1.6%
3.6%
1.2%
3.7%
0.0%
JPMorgan Funds - Global Healthcare Fund
Explanatory Notes, Risks and Important Information
Notes
A
The Morningstar Style Box ™ indicates the fund's
investment strategy. For equity funds the vertical axis
shows the capitalization of the shares held by the fund,
and the horizontal axis shows investment style (value,
mixed, or growth). In bond funds, the vertical axis shows
the average risk quality of the bonds the fund owns, and
the horizontal axis indicates sensitivity to interest rates,
as measured by the duration of the bond (short,
medium, or long).
B
The historic performance shown relates to the Share
Class ‘JPM Global Healthtech A (dist) – USD
USD’’ which was
launched on 15/05/06 prior to the merger. This Sub
Sub
Fund JPMorgan Funds Global Healthcare Fund has
been launched with the assets of the JPMorgan
Investment Funds Global Healthtech Fund which has
been merged into the Sub
SubFund on 02/10/09. The
historical performance shown corresponds to the
historical performance of the former Sub
SubFund
JPMorgan Investment Funds Global Healthtech Fund.
On 16/10/09 JPM Global Life Sciences Fund was merged
into JPM Global Healthcare Fund.
C
For reactivated share classes the performance is shown
from the date of reactivation and not the share class
launch date.
D
On 01/10/02 the benchmark for this Fund was changed
from a gross dividends reinvested basis to net dividends
reinvested as this better reflects the tax status of the
Fund.
Benchmark Source: MSCI. Neither MSCI nor any other
party involved in or related to compiling, computing or
creating the MSCI data makes any express of implied
warranties or representations with respect to such data
(or the results to be obtained by the use thereof), and all
such parties hereby expressly disclaim all warranties of
originality, accuracy, completeness, merchantability or
fitness for a particular purpose with respect to any of
such data. Without limiting any of the foregoing, in no
event shall MSCI, any of its affiliates or any third party
involved in or related to compiling computing or
creating the data have any liability for any direct,
indirect, special, punitive, consequential or any other
damages (including lost profits) even if notified of the
possibility of such damages. No further distribution or
dissemination of the MSCI data is permitted without
MSCI
MSCI’’s express written consent.
All equity indices stated as ‘Net
Net’’ are calculated net of tax
as per the standard published approach by the index
vendor unless stated otherwise.
You should remember that past performance is not a guide to the future. The price of investments and the income from
them may fall as well as rise and investors may not get back the full amount invested.
Formerly JF Global Healthcare, the Share Class name was changed to JPMorgan Global Healthcare on 04/02/13.
All performance details are NAV NAV with gross income reinvested.
FX Adjusted returns have been calculated by JPMAM. Blended benchmarks have been calculated by JPMAM.
This Sub
SubFund was launched with the assets of JPMorgan Investment Funds Global Healthtech Fund which has been merged
into the Sub
SubFund on 02/10/09. On 16/10/09 JPM Global Life Sciences Fund was also merged into this Sub
SubFund.
Source: J.P. Morgan
Important Information
This is a promotional document and as such the views contained herein are not to be taken as an advice or
recommendation to buy or sell any investment or interest thereto. Reliance upon information in this material is at the sole
discretion of the reader. Any research in this document has been obtained and may have been acted upon by J.P. Morgan
Asset Management for its own purpose. The results of such research are being made available as additional information
and do not necessarily reflect the views of J.P. Morgan Asset Management. Any forecasts, figures, opinions, statements of
financial market trends or investment techniques and strategies expressed are unless otherwise stated, J.P. Morgan Asset
Management
Management’’s own at the date of this document. They are considered to be reliable at the time of writing, may not
necessarily be all
allinclusive and are not guaranteed as to accuracy. They may be subject to change without reference or
notification to you.
It should be noted that the value of investments and the income from them may fluctuate in accordance with market
conditions and taxation agreements and investors may not get back the full amount invested. Changes in exchange rates
may have an adverse effect on the value, price or income of the product(s) or underlying overseas investments. Both past
performance and yield may not be a reliable guide to future performance. There is no guarantee that any forecast made
will come to pass. Furthermore, whilst it is the intention to achieve the investment objective of the investment product(s),
there can be no assurance that those objectives will be met.
J.P. Morgan Asset Management is the brand name for the asset management business of JPMorgan Chase & Co and its
affiliates worldwide. You should note that if you contact J.P. Morgan Asset Management by telephone those lines may be
recorded and monitored for legal, security and training purposes. You should also take note that information and data from
communications with you will be collected, stored and processed by J.P. Morgan Asset Management in accordance with the
EMEA Privacy Policy which can be accessed through the following website http://www.jpmorgan.com/pages/privacy.
As the product may not be authorised or its offering may be restricted in your jurisdiction, it is the responsibility of every
reader to satisfy himself as to the full observance of the laws and regulations of the relevant jurisdiction. Prior to any
application investors are advised to take all necessary legal, regulatory and tax advice on the consequences of an
investment in the product(s). Shares or other interests may not be offered to or purchased directly or indirectly by US
persons. All transactions should be based on the latest available prospectus, the Key Investor Information Document (KIID)
and any applicable local offering document. These documents together with the annual report, semi
semiannual report and the
articles of incorporation for the Luxembourg domiciled product(s) are available free of charge upon request from JPMorgan
Asset Management (Europe) S.à.r.l., 6 route de Trèves, LL2633 Senningerberg, Grand Duchy of Luxembourg, your financial
adviser or your J.P. Morgan Asset Management regional contact. In Switzerland, J.P. Morgan (Suisse) SA, 8, rue de la
Confédération, PO Box 5507, 1211 Geneva 11, Switzerland, has been authorised by the Swiss Financial Market Supervisory
Authority FINMA as Swiss representative and as paying agent of the funds.
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